Workers walk off Tesla job site in protest of lower-paid workers being brought in from out of state

So how is that $1.3 billion in tax credits and abatements to create jobs for Nevadans at Tesla Motors’ battery gigafactory near Sparks working out?

According to the website This Is Reno, about 350 of those Nevada union workers walked off the site today in protest of one of the contractors, Brycon Corp., paying only $12 to $14 an hour instead of union scale.

A union spokesman said the work site went from about 400 workers to about 60 Brycon employees.

Tesla blamed it all on subcontractors.

Sparks Tribune columnist and liberal activist Andrew Barbano, sent out an email ahead of the walkout saying the protest was over Nevada tax breaks being spent to bring workers from New Mexico, which is where Brycon is based.

“This legislation was passed with limited protection for Nevada’s construction workers,” Barbano quoted Todd Koch, president of the Building and Construction Trades Council of Northern Nevada, as saying. “Nevada’s tax dollars should be used to provide jobs for Nevada construction workers not New Mexico construction workers.”

The Reno Gazette-Journal reported that about 100 workers were picketing the Tesla site and many of them had walked off the job site to join the protest. The story noted that the total number of jobs at the site is also below projections. Tesla said it would employ 700 workers by the end of 2015 and hire another 1,000 in 2016, but the number of jobs is said to be closer to 300 or 400.

This comes as there are reports that Tesla might be considering dropping Panasonic as its gigafactory partner or hedging its bets by adding another battery source.

Photo posted by This Is Reno

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5 comments on “Workers walk off Tesla job site in protest of lower-paid workers being brought in from out of state

  1. iShrug says:

    Tesla isn’t going to need workers, the way things are going.
    http://seekingalpha.com/article/3827226-tesla-stock-split-hard-way

  2. Steve says:

    I read the SA article.
    Its another writer who has a large interest in Tesla stock dropping at least 100 by next year.
    He’s not a short. He has PUT contracts. These keep control of potential losses.
    But they also are a bet that a stock will drop. In that regard very similar to shorting a stock.

    This means bias. But it also shows a good amount of research into the company. I tend to take bias with a careful reading and I see this one leans to Tesla failing.
    On the one hand, I too say oil has a top now built in and just today I read a story that several frackers claim they are back in if the PPB goes to $40 while others say it’s more like $70 that gets frackers drilling and pumping again.
    Bottom line, oil will be around 40 or less for a very long time to come and we should see the price of gas remain near $2.00 locally for at least the coming year if not the next several years. Even if oil goes to 60$ (fracking starts up, holding the line) gas will not be much more than $2.00 at least it should remain under $3.00
    More than that, we continue to use petroleum products more and more efficiently, making each barrel do more than ever before.

    This is a sucker punch for smaller frackers who owe on loans they may not be able to pay, hence the volatility in energy stocks.
    But it’s a gut punch for all renewable energy, not just Tesla.

    Full disclosure, I do have investments. In the form of a couple solar stocks. I do not have any Tesla and the solar I do own are penny stocks. If they go up I win, possibly big, if they drop I lose very little. Less than the writer does with his put contracts.

    Don’t count Tesla out, they are a big player.

    Faraday is a pipe dream.

  3. iShrug says:

    Thanks for giving your take, Steve. The SA writers normally provide full disclosure as well. I resent having to give tax breaks to any of these outfits. Now, we are paying for charging stations and free charging for the millions of electric car owners who have been chomping at the bit to drive to Beatty. If you have a Tesla though, you will need a special adapter.

  4. Steve says:

    Its happened before.
    New York City had charging stations for the Baker Electric.

    Owens Magnetic was a hybrid that ran off the generator or the battery.

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